Update: Resources for Small Business Owners

Resources for Small Business Owners

Please see below for the resources available to Small Business Owners. 

State-level Orders:

Small business owners are encouraged to visit the Governor’s website to see the most current, up-to-date information and orders that are being provided at the state level. The link to access the website is here: https://www.governor.virginia.gov/.

• 10-Patron Limit. On March 17, 2020, Gov. Northam issued a Public Health Emergency Order prohibiting more than 10 patrons in restaurants, fitness centers, and theaters. The order gives local and state law enforcement the ability to enforce this ban and will remain in full effect until “amended or rescinded.” (Link)
• Support for Impacted Employers. The Governor’s website also includes up-to-date information for impacted employers under the coronavirus updates section. (Link)

Tax Relief Information:

The IRS has created a special page on their website focused on Coronavirus Tax Relief, where individuals and businesses can see the latest news and guidance provided. That page can be accessed here: https://www.irs.gov/coronavirus.

• Deferring Tax Payments. The Treasury Department and IRS have issued guidance allowing all individual and other non-corporate tax filers to defer up to $1 million of federal income tax (including self-employment tax) payments on April 15, 2020 until July 15, 2020 without penalties or interest. The guidance also allows corporate tax payers a similar deferment of up to $10 million of federal income tax payments that would be due on April 15, 2020 until July 15, 2020 without penalties or interest. The guidance does not change the April 15 filing deadline.
•  Penalties and interest will begin to accrue on any remaining unpaid balances as of July 16, 2020. If an individual or business files their tax return or request an extension of time to file by April 15, 2020, they will automatically avoid interest and penalties on the taxes paid by July 15. The easiest and fastest way to request a filing extension is to electronically file Form 4868 through a tax professional, tax software or using the Free File link on IRS.gov. Businesses must file a Form 7004.

U.S. Small Business Administration Declares Virginia a Disaster Area:

In keeping with our commitment to bring you the most up to date information, we wanted to let you know that the U.S. Small Business Administration has granted disaster declaration for the City of Virginia Beach, as well as all of Virginia. As a result, affected businesses, private nonprofits, homeowners and renters may qualify for federal disaster loans. Details on the application process are provided below.

Applicants may apply online, receive additional disaster assistance information and download applications at https://disasterloan.sba.gov/ela. Applicants may also call SBA’s Customer Service Center at (800) 659-2955 or email [email protected] for more information on SBA disaster assistance. Individuals who are deaf or hard?of?hearing may call (800) 877-8339. Completed applications should be mailed to U.S. Small Business Administration, Processing and Disbursement Center, 14925 Kingsport Road, Fort Worth, TX 76155.

For a detailed explanation of SBA’s Disaster Loans, please see SBA’s Three Step Process Factsheet. That can be accessed: https://disasterloan.sba.gov/ela/Documents/Three_Step_Process_SBA_Disaster_Loans.pdf

 Items Required for Applications:

• Loan application (SBA Form 5), completed and signed (this is electronic/online in the portal). To see what the form looks like, an example can be found here.
• Tax Information Authorization (IRS Form 4506-T), completed and signed by each applicant, each principal owning 20 percent or more of the applicant business, each general partner or managing member; and, for any owner who has more than 50 percent ownership in an affiliate business. Affiliates include, but are not limited to, business parents, subsidiaries, and/or other businesses with common ownership or management.
• Complete copies, including all schedules, of the most recently filed Federal income tax returns for the applicant business; an explanation if not available
• Personal Financial Statement (SBA Form 413) completed, signed, and dated by the applicant, each principal owning 20 percent or more of the applicant business, and each general partner or managing member
• Schedule of Liabilities listing all fixed debts (SBA Form 2202 may be used)